Teck Resources (NYSE:TECK) Shares Gap Up – Here’s Why

Shares of Teck Resources Limited (NYSE:TECK) (TSE:TECK) gapped up before the market opened on Tuesday . The stock had previously closed at $46.13, but opened at $47.50. Teck Resources shares last traded at $46.46, with a volume of 512,447 shares traded.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on TECK. Citigroup upgraded Teck Resources to a “hold” rating in a report on Wednesday, October 2nd. JPMorgan Chase & Co. decreased their price objective on Teck Resources from $57.00 to $55.00 and set an “overweight” rating on the stock in a report on Friday, October 25th. Deutsche Bank Aktiengesellschaft downgraded Teck Resources from a “buy” rating to a “hold” rating and set a $50.00 target price for the company. in a report on Friday, October 25th. Scotiabank upped their price target on shares of Teck Resources from $78.00 to $79.00 and gave the company a “sector outperform” rating in a research note on Tuesday, October 8th. Finally, StockNews.com raised shares of Teck Resources from a “sell” rating to a “hold” rating in a research report on Thursday, October 24th. Five equities research analysts have rated the stock with a hold rating, five have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the stock currently has an average rating of “Moderate Buy” and an average target price of $65.29.

Teck Resources Price Performance

The stock has a market capitalization of $23.98 billion, a price-to-earnings ratio of 69.88 and a beta of 1.03. The company has a fifty day simple moving average of $48.71 and a 200 day simple moving average of $48.34. The company has a debt-to-equity ratio of 0.16, a quick ratio of 2.35 and a current ratio of 2.92.

Teck Resources (NYSE:TECK) (TSE:TECK) last issued its earnings results on Thursday, October 24th. The basic materials company reported $0.60 EPS for the quarter, topping the consensus estimate of $0.36 by $0.24. Teck Resources had a return on equity of 6.37% and a net margin of 3.32%. The business had revenue of $2.86 billion during the quarter, compared to the consensus estimate of $2.09 billion. During the same quarter last year, the company earned $0.57 EPS. The firm’s revenue was down 20.6% compared to the same quarter last year. Equities research analysts forecast that Teck Resources Limited will post 1.82 EPS for the current fiscal year.

Teck Resources Cuts Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, December 31st. Shareholders of record on Friday, December 13th will be paid a dividend of $0.0895 per share. This represents a $0.36 annualized dividend and a yield of 0.76%. The ex-dividend date is Friday, December 13th. Teck Resources’s dividend payout ratio (DPR) is currently 56.06%.

Hedge Funds Weigh In On Teck Resources

Institutional investors and hedge funds have recently made changes to their positions in the business. Headlands Technologies LLC bought a new position in Teck Resources in the 2nd quarter worth $38,000. Eastern Bank purchased a new position in shares of Teck Resources in the 3rd quarter valued at approximately $39,000. Wilmington Savings Fund Society FSB bought a new stake in shares of Teck Resources during the third quarter valued at approximately $40,000. Bruce G. Allen Investments LLC raised its holdings in Teck Resources by 77.4% in the third quarter. Bruce G. Allen Investments LLC now owns 878 shares of the basic materials company’s stock worth $46,000 after purchasing an additional 383 shares in the last quarter. Finally, Blue Trust Inc. lifted its position in Teck Resources by 583.1% during the second quarter. Blue Trust Inc. now owns 1,052 shares of the basic materials company’s stock valued at $48,000 after buying an additional 898 shares during the period. Institutional investors own 78.06% of the company’s stock.

Teck Resources Company Profile

Teck Resources Limited engages in exploring for, acquiring, developing, and producing natural resources in Asia, Europe, and North America. The company operates through Steelmaking Coal, Copper, Zinc, and Energy segments. Its principal products include copper, zinc, steelmaking coal, and blended bitumen.